From the CEO, BAA Heathrow

It’s been a busy and challenging 12 months at Heathrow. This year the climate change debate moved to centre stage with aviation under the spotlight. The number of people wanting to fly continues to rise and while this brings important economic benefits to the area, we recognise that it carries with it negative social and environmental impacts. BAA has a responsibility to address its climate change impacts and we are working with our industry partners to encourage them to do the same.

In 2006 we announced plans to demolish Terminal 2 – Heathrow’s oldest terminal – and replace Terminal 2 and ultimately Terminal 1, with a modern, environmentally efficient terminal called Heathrow East. In July 2006 we conducted an extensive public consultation to communicate our plans to local stakeholders. In total over 20,000 people were contacted or sent information about the new terminal. I’m delighted to report that we have now received the green light to go ahead with this development which we hope will be open in time for the 2012 London Olympics.

Our community investment programme has continued to focus on benefiting communities worst affected by our operations. This includes schemes that mitigate the effects of noise and blight. We are also working with airport employers to ensure that local people benefit from the considerable employment and career opportunities that exist at Heathrow. Part of this is about building on the skills of local people. This year we were awarded almost £2 million of funding from the Learning and Skills Council to award NVQs to the airport’s workforce.

Being responsible also means running a safe and secure airport, 24 hours a day. The unprecedented security challenges last August put our security processes and teams under immense pressure. This year we have invested heavily in recruiting new security staff and providing new capacity and equipment. I am very proud of how our people responded to these major security changes, and indeed of their performance throughout the year. Our team at Heathrow is critical to the success of the company and I am committed to developing skilled, motivated employees that are proud to work for BAA.

Improving the customer experience at Heathrow remains one of our greatest challenges. I am looking forward to the long-awaited opening of Terminal 5 next March. This will be just the start of our plans to transform Heathrow into a world-class international gateway. Over the next few years almost the entire airport will be rebuilt, refurbished or redesigned.

Heathrow has a good track record of corporate responsibility and I will continue to make this a priority for Heathrow. With a Government consultation on future growth at Heathrow due later this year the spotlight will continue to fall on the airport. I do not believe that constraining growth at Heathrow is an option, since it will only serve to reduce the UK’s economic competitiveness. We must therefore continue to work with our industry partners to limit the airport’s environmental and social impacts whilst maximising the advantages the airport brings for people living close to it.